Not surprised. Their house brand stuff was basically rip off copies but always had quality and a few options the copied product didn't have. The house brand prices would be as much as 25% cheaper than what they copied. I've shopped their off and on since the late 70's. Before the internet there wasn't much in the way of quality backpack gear out here.
One way they always isolated them selves was they tended to always be very political. They followed what ever the Sierra Club said to the letter. Their was a time when the Sierra Club openly spoke out about motorized travel and exploring. You wouldn't find anything advertising toward us. When overlanding became popular, I was surprised to see RTT's and then E-Bikes pop up. In the past, you would catch snippets of conversation regarding the "Evil" Off-Road crowd. A couple of times in my life I've been confronted by this type of person out driving. The first thought through my head was, I bet they shop at REI.
The diffrent off-road associations I belong to actively boycott them. It seemed all they wanted was college age backpackers. As the video pointed out, people today price shop. In todays market you cant expect an overpriced business to survive while keeping a radical political view.